Mexico: Saint-Gobain has completed the acquisition of Knauf Mexico for an undisclosed sum. Knauf operates a 26Mm2 gypsum wallboard plant at Queretaro that it purchased from PPG in 2017.
Gypsum wallboard sales grow revenue for Etex in 2018
Belgium: Etex’s Building Performance division’s sales rose by 6.9% year-on-year to Euro1.65bn in 2018. It attributed this growth to the good performance of gypsum wallboard sales in most territories and especially in France, the UK and Central & Eastern Europe. However, challenging market conditions and competition were reported in Germany. Overall, the group’s revenue rose by 4.1% to Euro2.9bn from Euro2.78bn. Its earnings before interest, taxation, depreciation and amortisation (EBTIDA) fell by 9.5% to Euro391m from Euro432m. Issues with negative exchange rate effects and hyperinflation in Argentina were reported.
Elektroprivreda Srbije builds river terminal in Serbia
Serbia: Elektroprivreda Srbije, a government-owned power company, has completed a Euro14m terminal on the River Danube for its Kostolac B coal-fired power plant. The unit will be use to transport 105,000t/yr of synthetic gypsum and 157,000/yr of fly ash. It will also process limestone. The terminal was built as part of the first phase of a credit arrangement between Serbia and China.
Australian competition commission forces divestments in Knauf’s acquisition of USG
Australia: The Australian Competition and Consumer Commission (ACCC) has approved Knauf’s acquisition of USG subject to asset divestments. The ACCC’s review focused on competition for the supply of wallboard, joint plaster compounds and treatments, metal profiles, fixed and modular suspended ceilings and insulation.
USG has a presence in Australia through its USG-Boral joint venture, which the ACCC says competes with Knauf and with Armstrong World Industries. The commission requires Knauf to divest USG’s interest in the joint venture, either entirely or just in Australasia, to a buyer approved by the ACCC. If divestiture of the joint venture interest is not achieved within a certain period, Knauf has agreed to divest certain other assets.
“The transactions raised some significant concerns as it would lead to Knauf owning a 50% in the joint venture, which is a significant competitor in several markets, including markets with limited alternatives for customers,” said ACCC Commissioner Roger Featherston.
Each acquisition is subject to review by different international competition agencies given the global nature of the Knauf’s acquisition of USG.
